Summary of “The Odds And Perils Of Gambling Successfully On Japan’s New Casinos”

While Yakuza were traditionally notorious for their violent methods, one figure stood out for favoring a more cerebral approach to profiteering: Susumu Ishii – the second-generation leader of the Inagawa-kai, Japan’s third-largest yakuza group. When the laws changed and Ishii was jailed in the late 197os for organizing gambling, he revised his views on what the yakuza should be and heralded the rise of the modern-day Yakuza, who have at times turned the Japanese stock market into their own private casino. Casinos could open a whole new revenue stream for the yakuza. What casino companies coming into Japan should really fear, according to Jake Adelstein, an investigative journalist who has covered organized crime in the country for more than 20 years, is not losing money to cheating yakuza customers, but the infiltration of their companies and casino staff by organized crime members. It might be possible to set up excellent surveillance at casinos to keep yakuza from walking in the front door. So what else can be done to mitigate the “Yakuza risk” associated with doing business in Japan, especially as it concerns legalized gaming? First and foremost, accurate and timely due diligence must be completed prior to hiring staff and engaging in any business relationship, as the monetary incentive to penetrate or compromise legalized gaming establishments is just too great. Third, educating all vetted casino staff on recognizing yakuza and the signs of their entrapment schemes, as well as cultivating awareness among staff of how they could become targeted as a gateway into the casino operation, is indispensable. Cyber security may merit special attention; vulnerabilities have been discovered at casinos in other locations around Asia, so casino operators will need state-of-the-art cyber security as well.